German construction growth drops

Construction output in Germany rose at a reduced rate in 2014, according to a new study. The latest Markit Price Manager´s Index (PMI) revealed that levels of new orders had declined, as companies looked to reduce their employee base amid a challenging European economic backdrop. While there were encouraging results from the home-building sector, a rise in inflation contributed to purchasing activity within the overall market being unchanged since November. This was underlined in the performance rating index level, which was 50.5, down from 53.5 in November (remaining marginally above 50 points - which indicates growth). With companies remaining cautious about hiring new staff, operating costs increased for the third month in a row.